Car Wash Credit Card Processing and Payment Terminals: Insiders Guide
Cash payment is no longer the preferred mode of transaction when it comes to car wash businesses. Customers prefer to use the credit and debit card to make payments for automated car wash. For a growth-oriented car wash business, using the right side processing solution is not only a convenience but in reality is necessary. By offering the customer the ability to make payments easily for car wash in multiple modes including over the website, mobile application, or drive-through tap and pay, car wash companies can see an increase in customer loyalty and satisfaction.
In this article, the car wash payment system specialist has discussed in detail about payment terminals, debit card processing, custom payment solutions all related to car wash business for the purpose of benefit of the business owner. Whether you run a self-service car wash, automatic wash, or you have a full-service operation, with this industry’s inside guide, you will be able to make an informed decision about choosing the right car wash credit card processing solution. Let’s begin.
What is Car Wash Credit Card Processing?
Car wash credit card processing refers to a payment system that allows car wash businesses to accept credit card payments from their customers. The entire process includes accepting the card details from the customer through the payment terminals, encrypting the information, validating the availability of funds from the card company, and then sending the response on the terminal within less than a second. Full-feature car wash credit card processing solutions integrate well with various portals and payment terminals used in the car wash industry.
Benefits of Car Wash Credit Card Processing
According to some studies in the United States, consumers prefer to make credit and debit card transactions when it comes to taking services at car wash. Those businesses that are not accepting credit card payments or are accepting credit card payments and paying high fees are at significant loss.
By accepting credit and debit card transactions, business owners have experienced that consumers tend to spend more. However, if the business only accepts cash transactions, then the average transaction value remains low. With credit and debit card payments, car wash customers tend to buy additional services and products, for example, premium washes or interior cleaning.
Most car wash businesses are semi or fully automatic these days, which reduces the risk of human errors and also requires fewer people to manage the business. With fast payment terminals, car wash businesses can focus on their core competencies rather than worry about handling cash transactions.
Types of Car Wash Payment Solutions
Car wash payment terminals. These are highly durable, compact devices that accept credit, debit, and contactless payments. These credit card terminals are extremely beneficial for car wash businesses such as self-service, automatic car wash stations, and mobile car wash setups. These advanced payment terminals can easily accept payments from multiple modes. Customers can make payments using cards of all types, including magnetic, EMV, and NFC cards. These terminals also accept payments through well-known e-wallets like Google Pay and Apple Pay and also support additional QR code payments as well as tap and pay options.
Car wash payment terminals provide excellent benefits to the business owner, which includes processing quick transactions that reduce wait time for the consumer. The rugged designs of these terminals make durability an amazing fact, as the terminals can withstand various weather conditions. Advanced security through PCI-compliant and integration with backend reporting tools and point-of-sale systems make these terminals a perfect choice for almost every car wash business.
Car Wash Debit Card Processing. Apart from credit card processing, debit cards are also a popular payment method for budget-conscious customers. Car wash companies that accept debit card payments ensure that they cater to all types of customers, including businesses and individuals. Car wash businesses pay lower transaction fees on debit cards when compared to credit cards, which makes it an affordable option. Our partners provide highly affordable pricing structures for debit and credit card processing for car wash companies so that you can maximize your profit. By allowing customers to make payments through debit cards, you not only pay a lower transaction fee but also get access to funds quicker and increase customer satisfaction.
Custom car wash payment terminals. These are designed to meet the special requirements of car wash businesses. Some businesses may require specific branding, multi-language support, or additional features like loyalty programs or upselling options. By customizing the car wash payment terminals, businesses can integrate loyalty and reward programs. It also helps in promoting upselling and selling premium packages. By adding personalized branding to the payment receipt and the terminals, businesses can enhance their brand awareness. Adding multiple language supports can make it comfortable for customers who are comfortable in languages other than English.
Compact Car Wash Credit Card Machines. Some car wash companies still rely on conventional credit card machines integrated with their car wash point-of-sale system, which is absolutely fine. Depending on how the business is structured, you should choose the payment solution. Car wash credit card machines offer portability and on-the-go transactions. With these mobile credit card machines, business owners can accept almost all types of car transactions.
KYC for Car Wash Credit Card Processing
KYC or Know Your Customer is a very important verification process for car wash businesses when it comes to credit card processing services. By implementing this step, credit card processors ensure that the application is legitimate and complies with various financial and government regulations. Car wash companies submit a filled application and a set of business documents to complete the KYC process. Let us quickly look at some of these documents that you will be asked to submit:
For the business information verification, the merchant needs to submit documents that confirm the business name, address, and registration details. The business can be an LLC, corporation, or a sole proprietorship. Related certificates of incorporation or business license must be provided.
For the owner identification, the merchant can produce any government-issued photo identity proof, such as a driver’s license or a passport. To validate the existence of the business address as well as directors’ home address, providing recent utility bills is mandatory.
Credit risk check is an important part of vetting. The payment processor will need recent bank statements as well as recent card processing statements. This is done to check the credit risk of the merchant. The processor will also need a voided check or letter from the bank that confirms the business bank account information.
Depending upon the solution chosen by the merchant, the payment processor will suggest compliance and risk assessment related to PCI. In some solutions, the PCI compliance fees are charged by the payment processor and are also handled by the processor. However, in some scenarios, the merchant may have the responsibility for full PCI compliance implementation. This step is done to identify and reduce fraudulent transactions.
By properly implementing the KYC process, car wash credit card processing companies take effective measures in reducing fraudulent transactions and ensuring security. Providing secure transaction services helps build trust between the merchant and the payment processor.
Application Process for Car Wash Credit Card Processing
The application process for a car wash payment system is straightforward. Let’s explore a few important steps that will help in faster onboarding:
It starts with submitting the basic business information to the payment processor. By analyzing the basic information, the processor pre-qualifies the merchant and confirms whether to proceed with the evaluation. Then the merchant submits a completed application form and the KYC documents.
The underwriters start the risk assessment process. They check the business type, transaction patterns, and risk level for onboarding the account. Based on the evaluation, they either approve or reject the application. If they approve the application, then the merchant gets to choose the type of payment solution for integration. This may be a weather-resistant payment terminal or a car wash system with a credit card processing machine, depending on the customer’s choice and availability with the payment processor.
Once the terminals are decided, the merchant signs an agreement and schedules the appointment for terminal setup. After the terminal is installed at the car wash business, the merchant can run some test transactions. After the success of test transactions, the car wash can start accepting live transactions. Please note that we offer only channel payment solutions for car wash companies, meaning we can provide online payment as well as face-to-face payment solutions for your car wash business.
Activation and Integration of Car Wash Payment Terminals
After the approval of the application, the merchant needs to carefully go through important steps to activate and integrate the payment terminal to the car wash facility. This includes configuring the terminal to match the business’s payment requirements, such as contactless debit card or credit card payment. Software installation is done for real-time reporting and transaction tracking. The payment processor also trains the employees and business owners to effectively use the terminal and troubleshoot minor errors.
FAQ
What are the key features to look for in a car wash credit card processing system?
When you’re looking forward to getting a brand new car wash credit card processing system, there are some important features that you must look at. The device should be durable, it should be weather resistant and must be made up of rugged material so that you can use these devices under harsh indoor and outdoor conditions. Make sure that the terminal allows you to accept payments by multiple methods such as credit cards, debit cards, contactless payments, e-wallets such as Apple Pay and Google Pay, as well as all types of QR code payments.
Remember, processing credit card payments on car wash terminals is a little bit complex process; however, it does not mean that the transaction should take long time. The device must offer fast transaction processing and should integrate smoothly with your existing point of sale system as well as backend reporting tools. It will be better if your payment service provider handles the PCI compliance for you so that you can reduce the financial burden of paying for the compliance. Ideally, a good car wash credit card terminal should come with options like branding, loyalty program as well as upselling features. And last but not least, the terminal should come to you at a competitive pricing and the providers should not charge any hidden fees.
How can car wash businesses reduce credit card processing fees?
There are various ways through which a car wash company can reduce their credit card processing fees. The easiest approach is to negotiate rates with the payment processor. Another option is to choose a processor that offers flat rate pricing instead of interchange plus pricing. If your customers make payments to you by using debit cards then you will be paying lower transaction fees – you should encourage your customers to use debit cards. Rather than processing individual transactions, we suggest you perform batch transactions to avoid multiple fees. Another important thing is that you choose a payment terminal that has low maintenance and minimum setup cost. At last, make sure that you review the contract properly so that you avoid any unnecessary fees.
What are the advantages of contactless payments for car wash businesses?
These days contactless payments are the lifeline of transaction processing at any car wash business. These terminals offer fast transaction processing and also reduce the wait time which in return improves the overall customer satisfaction. By placing the terminals at your car wash business, you are offering convenience to your customers so that they can simply tap their cards or smartphone and make the payment. By reducing the physical contact, you also contribute to a more safe post-pandemic world.
How can car wash businesses implement loyalty programs through payment terminals?
Any car wash business can easily implement a loyalty program by working with the right payment service provider. With loyalty programs, car wash companies can increase the returning rate of the customers. For this, you should choose a payment service provider that offers terminals that support your existing loyalty program application. The terminal should add discounts for repeat customers as per the instructions from the loyalty application. For returning customers, you may also offer additional items at discounted price – we call this upselling. Make sure that the payment terminal you use allows you to make customized reports so that your customers can see the loyalty point details and the rewards on the payment receipt.
What are the steps to switch to a new car wash credit card processing provider?
Switching a credit card processor for your car wash business is a serious step and you should take it only when you are confident that the new solution you are opting for is better than the previous one.
Start by researching providers in your area based on factors such as fees, customer reviews, and the features offered. After comparing 3 to 5 providers, you will be able to come to a judgment about the best offer. Once you identify the provider you want to switch to, then it is time for you to notify your current provider. Before doing so, we suggest you check your contract – sometimes providers do have an early termination clause which can be an expensive affair. If you are fine with the contract terms, notify them that you will be switching to another solution provider. Keep in mind that your existing payment service provider might offer you a better deal this time just to make sure that you don’t leave their company.
Based on your decision of whether you want to stay with the current provider or switch to the next one, the next steps will change. If you prefer to change providers, then you will have to inform your new provider as well and submit the application and provide the KYC documents. After the approval of your account, the provider will send you new terminals that you can install at your car wash facility. The payment service provider will also give you training that can also be attended by your staff members. After the successful setup of the terminals, you can initiate test transactions – these will be verified by the payment service provider. Once the test transactions are complete, you will be able to go live and start accepting real transactions.
How can car wash businesses handle chargebacks effectively?
The instances of chargebacks are very rare in the car wash industry. This is primarily because most of the transactions that happen at a car wash facility are face-to-face transactions or card-present transactions. In such transactions, the merchant and the customer are present at the same facility throughout the process. However, in few cases, chargebacks can happen. Merchants can implement some measures to reduce these instances. One good step is to provide clear receipts with detailed transaction information to the customer. It is important for the merchant to make sure that the records of all transactions are maintained properly, including customer signature if applicable. Whenever the payment service provider informs you about a chargeback dispute, then you should immediately provide evidence to the payment service provider about the valid transaction. Resolving customer complaints also helps in reducing the risk of chargebacks.
Final Words: Car Wash Credit Card Processing
Credit card processing has transformed the car wash industry. The right payment terminal is critical for the proper functioning of any car wash business. Our analysis has revealed that car wash businesses cannot survive on cash transactions alone, as over 70% of customers prefer to make credit or debit card payments. Businesses that switch to digital payments see an increase of over 20% in overall sales.
It is time for business owners to start using advanced and highly affordable car wash payment systems that allow customers to make payments through various modes, including credit cards, debit cards, gift cards, and even tap-and-pay cards. We hope that this guide has provided you with all the required information about car wash merchant services. If you have any further questions, feel free to email us at [email protected].
